Identity
and reputation are two sides of the same coin; where Scott Livengood and Rhonda
Reger (2010) state that “reputation is defined as stakeholders’ perceptions
about an organization’s ability to create value relative to competitors and identity
is the way the firm sees itself. Accordingly, actions that reinforce a firm’s
identity will also reinforce the firm’s reputation, assuming the signals
emitted from the firm are appropriately perceived by the outside stakeholders.
It’s this reputation that establishes a firm’s “territory” as its identity
domain and acts as a signal to other competitors that the firm is both willing
and able to compete in this arena,” (p.58).
But
in the 21st Century do organisations spend enough time, or in some
cases any time, developing their ‘identity’ with their employees?
Is it
possible that part of the problem with 21st Century business is that
too many employees don’t or can’t ‘identify’ with the organisation they work
for, not only creating confusing messages within the organisation, but sending
confusing messages to their stakeholders as well?
The
business landscape has significantly changed over the last century, not only
due to globalisation but due to the nature of employment and how it is seen by
the employee. There was a time, not so long ago, when the concept of life-time
employment with the same organisation was the norm and where a generation would
follow another into the same organisation.
Now that
we live and work in a globally visible landscape, we encourage our children to
travel and work abroad, to gain precious International experience and the
concept life-time employment is a distant memory that appears very weird with
today’s generation.
But
whether you work for an organisation for a lifetime or a year, the organisation
should have an identity – in fact the leadership and stakeholders should want
the organisation to have an identity that makes their business stand out from
the competition, to make it a place where employees want to work and even when
they move on, will speak highly of that ‘special identity’ and be a place they
would like to return to later in their career.
But
what creates an organisations identity and what makes that identity positive? Some
of the key factors would include;
a) The leadership at all levels in the organisation, where
they set the ‘right’ example for others to follow and have a clear, realistic
future vision and allow everyone to feel part of that vision;
b) Where employees are recognised for their contribution,
not just financially, but through simple verbal signals of recognition as well;
c) Where employees relate to the products and/or services
on offer and are proud to be associated with them (a concept that seems to be
becoming rarer and rarer);
d) An organisation that respects their customers and sees
them as an asset;
e) An organisation that doesn’t only recognise employee
contributions, but values their ‘talent’ and understands their needs;
f) An organisation that values all their stakeholders;
g) An organisation that is in it for the long haul and
focuses on sustainable generic growth (rather than a short term rollercoaster
ride in search of quick profits);
h) An organisation that implements socially responsible
projects, appreciating that they are part of a community (compared to those
that just talk about CSR and believe ‘they are the community’);
i) Ethical leadership and ethical stakeholders;
j) A place that you are proud to be associated with and where
you would want your family and friends to work.
So
does your organisation have a recognisable identity and if so what is it? If
you’re not sure maybe you should spend a few hours managing by walking around
and ask them. You’ll be surprised by how much you might learn that can help
your organisation be better tomorrow than it is today.
References
Livengood, R. Scott and Reger, Rhonda, K. (2010). That’s Our
Turf! Identity Domains and Competitive Dynamics. Academy of Management
Review , Vol. 35 Issue 1, p.48-66.
Dear Nigel,
ReplyDeleteI agree with you – having identity means an organization knows where they are and what values they represent and transmit. In other words, recognizing your own identity helps you make a strong impression on your employees who in their turn will make the same impression on their customers.
But this sometimes doesn’t work. In my opinion, the point c) in your article – “employees relate to the products/services on offer” can lead you to some interesting consideration. When you are a customer, you can immediately feel whether an employee is proud of company products/services or not. You, as a customer, have positive or negative feelings, emotions, and attitude towards a company – you deal with employees that represent an organization. An employee, who works with you or any other customer, should have positive feelings, emotions, and attitude towards products/services and be able to create a warm, kind, respectful, and professional atmosphere. And this is a rather weak point for some organizations. Professional knowledge of products/services is a must but not enough for customers.
Best wishes,
Olga